The meeting was held in the Airport
Commission Board Room, 8600 Garfield Road, Freeland, Michigan 48623.Vice Chairman Darnell Earley called the
meeting to order at 1:00 p.m.Roll was
called by Debbie Meisel.

COMMISSIONERS

PresentAbsent & ExcusedStaffOther

Tom
AdamsGeorge J. BiltzJeff
NagelTony
Lascari, Midland Daily News

Bregitte
BraddockAndre
R. Borrello

Greg
BranchDebbie
Meisel

Kim
Coonan

Darnell
EarleyGuests

Ernie
KrygierSteve Westerbeke, RS&H

Tom
Ryder

Paula
Whittington

PLEDGE OF ALLEGIANCE

MINUTES:Mr. Krygier made a motion to approve the minutes of the Regular
Commission Meeting held on January 20, 2011.Mr. Adams seconded the motion.The motion was unanimously approved by the Board.

JANUARY 2011 WARRANTS AND
CASH & INVESTMENT SUMMARIES:Mr.
Adams made a motion to approve the Warrant Registers for the January Payroll
Account Check Numbers 85929-85984; the January Operations and Maintenance Check
Numbers 40944-41021; and the January Cash and Investment Summaries.Mr. Coonan had questions on the Cash and
Investment Summary. After discussion, Mr. Krygier seconded the motion and the
Board unanimously approved it.

PUBLIC
COMMENT:None

COMMITTEE
ASSIGNMENTS:Mr. Nagel stated that
due to the recent changes on the
Airport Commission, the committee structure needed to be re-evaluated.Each committee is made up of one member from
each of the three owning municipalities.The committees will be as follows:

Mr.
Krygier made a motion approving the committee structure.Mr. Branch seconded and the motion passed
unanimously.

PHASE V
PROJECT CHANGE ORDER #002 (SPENCE BROTHERS CONTRACT):Mr.
Nagel stated that work continues to move forward on the Phase V portion of the terminal
project.This work is under the Spence
Brothers contract and was actually authorized by two separate
Notice-To-Proceeds because of the different FAA grants to be used for funding
this portion of work.As a complex
project like this moves forward, there is bound to be
a need for change orders.The first
change order was actually approved months ago when the Airport Commission
approved a higher-quality roofing system for the building.This change order also addresses the roof but
it changes a portion of the flat roof from a “fully-adhered” roof system to a
mechanical fastened roof system.This
change will allow Spence to move forward with the installation of the roofing
system in these extreme weather conditions.This does not impact the quality of the roof or the warranty provided
for the roof.The increase in cost is
$8,352.07 and is the only cost increase on this change order.The remaining items are all related to field
modifications and represent cost decreases to the project. As you can see from
the attached change order, the total contract cost actually decreases by
$19,987.62 for all of these items.

It should be
noted that the additional costs are eligible, pending FAA funding.It should also be noted that there will
most-likely be additional change orders through this phase of work.

This change
was recently submitted and reviewed by RS&H.It is the recommendation of RS&H to
approve this change order in February rather than wait for the March
meeting.Because of the timeliness, this
change order has not been reviewed at the committee level.Mr. Ryder made a motion to approve the Spence
Brothers Contract Change Order #002 and authorize the Chairman, or in his
absence the Vice Chairman to sign the related documents.Mr. Krygier seconded the motion.Mr. Krygier asked about the roof change
order.Mr. Nagel stated the change order
is only to how the roof adheres and will not change the quality or the warranty
of the roof.There being no further
discussion, the motion passed unanimously.

OLD BUSINESS:Mr.
Nagel stated that the AIP program in Washington, D.C. is not resolved.Mr. Nagel traveled to Washington a few weeks
ago to meet with legislators and the FAA to discuss the airport project.The AIP program currently continues through
March and he is anticipating another continuing resolution or he also has heard
a possibility of a multi-year AIP bill.There is pressure from the industry to pass a multi-year bill so that
airports can plan multi-year projects.The industry is saying that this would be a good “jobs” bill.Mr. Nagel will continue to monitor and report
back to the Board.

NEW BUSINESS:

MAAE:Mr.
Nagel stated that he is the President of MAAE and was just at a conference in
Lansing. Yesterday, Kirk Steudle, MDOT Director, was
the luncheon speaker.He spoke about the
budget passing at the state level and how it will impact aviation.The State could be unable to match Federal
funds and there is concern with what will happen with AIP grants.

Snow Storm:Mr.
Nagel updated the Board in regards to the snow storm on February 2nd.MBS received nearly a foot of snow.None of the flights that were cancelled in
and out were because of MBS actions.The
airlines cancelled the flights.Since
the flights were not coming in or going out, staff pulled the crews off the
runways early in the morning since they were unable to keep up.Night shift stayed and helped some of the day
shift coming into work that was getting stuck.They also did public assistance.They helped the control tower employees by plowing them out.The airport also had heard of a family that
was stuck north of the airport.The
people had gotten through to 911 but were told it would take a couple of hours.The airport employees were able to get them
out and brought them back to the passenger terminal. Mr. Nagel read a thank you
letter from the tower.The tower
furnished pizza and cake for the MBS employees.Mr. Nagel also read a thank you letter from the family that was
stuck.They sent gift certificates for
Buffalo Wild Wings so staff got chicken wings to add to the pizza
luncheon.Dow Chemical also furnished a
cake at another time to show their appreciation.

The airport was closed since flights were canceled. The
maintenance crew went back out after breakfast.The runways were open for the first general aviation arrival which was
Dow Chemical and then remained open for the remaining Delta flights.There was a total of 80 hours of overtime
working just that storm.Some of the
employees were at the airport around the clock, punched out and slept in the
fire station, got up and went back out.Mr. Nagel stated that Mr. Riesinger did several media interviews
regarding the storm.Mr. Nagel said he did
a good job and thought it was a good story for him to handle.Mr. Earley stated that the staff and everyone
involved responded well to a very challenging situation.Mr. Krygier asked about the supply for snow
chemicals.Mr. Nagel stated that there was
an adequate supply of de-icing chemical on hand.

AIP:Mr.
Coonan asked what the worst case scenario with the Federal and State budget
reductions. Mr. Nagel stated that the
absolute worst would be if Congress let the Airport Improvement Program
completely expire or they didn’t authorize any
expenses but kept the taxes in place.That would be met with huge resistance in the industry.The money that funds the capital projects
comes from ticket taxes and fees on airline tickets paid by the users.The money is supposed to be dedicated to
airport capital improvements throughout the country.Mr. Nagel doesn’t think that Congress would
ever let it expire.He has seen reports
where the funding levels for AIP would go down or grant funding for larger
airports would get cut and they would have to rely solely on PFC revenues.There are many different proposals but it is
too early to speculate.Mr. Nagel stated
that he thinks there have been seventeen extensions to the existing AIP funding
legislature.Mr. Nagel reminded the
board, that as the airport has gone through the construction of the new
terminal, Congress has not let MBS down.

Thank You:Mr.
Earley thanked Mr. Nagel and staff for the response
to the storm and keeping the airport functioning.He asked that Mr. Nagel relay the Board’s
appreciation to the employees.

ADMINISTRATIVE MATTERS:Next regular meeting is scheduled for March
17, 2011.

ADJOURNMENT:There being no further business, Mr. Krygier made a motion to
adjourn.Mr. Ryder seconded and the Board
unanimously passed the motion.The
meeting adjourned at 1:19 p.m.